Questions & Answers

Question-ID: 33

Release Date: Jan 31, 2024


Questions & Answers

Which groups can be considered as employees or non-employee workers in line with the German HGB respectively other national laws?

Key Terms
  • Non-employees
  • employees

Background

ESRS S1 paragraph 4 describes the scope of ESRS S1 and states: ‘this Standard covers an undertaking’s own workforce, which is understood to include both people who are in an employment relationship with the undertaking (“employees”) and non-employees who are either people with contracts with the undertaking to supply labour (“self-employed people”) or people provided by undertakings primarily engaged in “employment activities” (NACE Code N78). See Application Requirement 3 for examples of who falls under own workforce. The information required to be disclosed with regard to non-employees shall not affect their status pursuant to applicable labour law.’

In addition, ESRS S1 paragraph AR3 gives a number of examples of people who fall within the category of non-employees and are included within ‘own workforce’; these are (a) contractors (self-employed persons) and ‘(b) people employed by a third party engaged in “employment activities” which include people who perform the same work that employees carry out.’

Answer

Since there is no definition of ‘employee’ provided under EU law, the status as an employee is determined at the national level according to national laws and practice (employees are individuals who are ‘in an employment relationship with the undertaking according to national law and practice’).

The national labour law or practice of each country defines what type of contracts constitute an employment relationship (i.e., an employee) and those that relate to non-employees.


Relations

Paragraph
Content
2023 ESRSESRS S1 - OWN WORKFORCE...ObjectiveAR 3.

Examples of people that fall within the scope of “Own workforce” are:

2023 ESRSESRS S1 - OWN WORKFORCE...Disclosure Requirement S1-7 – Characteristics of non-employees in the undertaking’s own workforce55. (a)

a disclosure of the total number of non-employees in the undertaking’s own workforce, i.e., either people with contracts with the undertaking to supply labour (“self-employed people”) or people provided by undertakings primarily engaged in “employment activities” (NACE Code N78).

2023 ESRSESRS S1 - OWN WORKFORCE...Disclosure Requirements50. (a)

the total number of employees by head count, and breakdowns by gender and by country for countries in which the undertaking has 50 or more employees representing at least 10% of its total number of employees;

2023 ESRSESRS S1 - OWN WORKFORCEObjective4.

This Standard covers an undertaking’s own workforce, which is understood to include both people who are in an employment relationship with the undertaking (“ employees ”) and non-employees who are either people with contracts with the undertaking to supply labour (“self-employed people”) or people provided by undertakings primarily engaged in “employment activities” (NACE Code N78). See Application Requirement 3 for examples of who falls under own workforce. The information required to be disclosed with regard to non-employees shall not affect their status pursuant to applicable labour law.

2023 ESRSESRS S1 - OWN WORKFORCE...ObjectiveAR 3.

Examples of people that fall within the scope of “Own workforce” are:

2023 ESRSESRS S1 - OWN WORKFORCE...Disclosure Requirement S1-7 – Characteristics of non-employees in the undertaking’s own workforce55. (a)

a disclosure of the total number of non-employees in the undertaking’s own workforce, i.e., either people with contracts with the undertaking to supply labour (“self-employed people”) or people provided by undertakings primarily engaged in “employment activities” (NACE Code N78).

2023 ESRSESRS S1 - OWN WORKFORCE...Disclosure Requirements50. (a)

the total number of employees by head count, and breakdowns by gender and by country for countries in which the undertaking has 50 or more employees representing at least 10% of its total number of employees;

2023 ESRSESRS S1 - OWN WORKFORCEObjective4.

This Standard covers an undertaking’s own workforce, which is understood to include both people who are in an employment relationship with the undertaking (“ employees ”) and non-employees who are either people with contracts with the undertaking to supply labour (“self-employed people”) or people provided by undertakings primarily engaged in “employment activities” (NACE Code N78). See Application Requirement 3 for examples of who falls under own workforce. The information required to be disclosed with regard to non-employees shall not affect their status pursuant to applicable labour law.

2023 ESRSESRS S1 - OWN WORKFORCE...Disclosure Requirements50. (a)

the total number of employees by head count, and breakdowns by gender and by country for countries in which the undertaking has 50 or more employees representing at least 10% of its total number of employees;

2023 ESRSESRS S1 - OWN WORKFORCEObjectiveAR 3.

Examples of people that fall within the scope of “Own workforce” are: